Efuture Information Technology Etf Volatility
| EFUT Etf | 25.39 0.55 2.12% |
EFuture Information appears to be not too volatile, given 3 months investment horizon. eFuture Information secures Sharpe Ratio (or Efficiency) of 0.14, which denotes the etf had a 0.14% return per unit of risk over the last 3 months. We have found thirty technical indicators for eFuture Information Technology, which you can use to evaluate the volatility of the entity. Please utilize EFuture Information's Semi Deviation of 2.99, downside deviation of 3.34, and Risk Adjusted Performance of 0.0745 to check if our risk estimates are consistent with your expectations. Key indicators related to EFuture Information's volatility include:
720 Days Market Risk | Chance Of Distress | 720 Days Economic Sensitivity |
EFuture Information Etf volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of EFuture daily returns, and it is calculated using variance and standard deviation. We also use EFuture's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of EFuture Information volatility.
EFuture |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as EFuture Information can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of EFuture Information at lower prices. For example, an investor can purchase EFuture stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of EFuture Information's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns.
Moving together with EFuture Etf
| 0.88 | WU | Western Union Financial Report 7th of May 2024 | PairCorr |
Moving against EFuture Etf
| 0.79 | FUBO | FubotvInc Financial Report 3rd of May 2024 | PairCorr |
| 0.54 | G | Genpact Limited Financial Report 8th of May 2024 | PairCorr |
| 0.47 | CXDO | Crexendo Financial Report 14th of May 2024 | PairCorr |
| 0.46 | XTIA | Inpixon Symbol Change | PairCorr |
| 0.44 | SDIG | Stronghold Digital Mining Trending | PairCorr |
| 0.41 | APLD | Applied Blockchain Financial Report 22nd of July 2024 | PairCorr |
EFuture Information Market Sensitivity And Downside Risk
EFuture Information's beta coefficient measures the volatility of EFuture etf compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents EFuture etf's returns against your selected market. In other words, EFuture Information's beta of 1.9 provides an investor with an approximation of how much risk EFuture Information etf can potentially add to one of your existing portfolios. eFuture Information Technology shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure EFuture Information's etf risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact EFuture Information's etf price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze eFuture Information Demand TrendCheck current 90 days EFuture Information correlation with market (NYSE Composite)EFuture Beta |
EFuture standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Standard Deviation | 3.48 |
It is essential to understand the difference between upside risk (as represented by EFuture Information's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of EFuture Information's daily returns or price. Since the actual investment returns on holding a position in efuture etf tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in EFuture Information.
eFuture Information Etf Volatility Analysis
Volatility refers to the frequency at which EFuture Information etf price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with EFuture Information's price changes. Investors will then calculate the volatility of EFuture Information's etf to predict their future moves. A etf that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A etf with relatively stable price changes has low volatility. A highly volatile etf is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of EFuture Information's volatility:
Historical Volatility
This type of etf volatility measures EFuture Information's fluctuations based on previous trends. It's commonly used to predict EFuture Information's future behavior based on its past. However, it cannot conclusively determine the future direction of the etf.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for EFuture Information's current market price. This means that the etf will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on EFuture Information's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. eFuture Information Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
EFuture Information Projected Return Density Against Market
Given the investment horizon of 90 days the etf has the beta coefficient of 1.9032 suggesting as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, EFuture Information will likely underperform.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to EFuture Information or Software sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that EFuture Information's price will be affected by overall etf market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a EFuture etf's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
EFuture Information Technology has an alpha of 0.1986, implying that it can generate a 0.2 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives an EFuture Information Price Volatility?
Several factors can influence a etf's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.EFuture Information Etf Risk Measures
Given the investment horizon of 90 days the coefficient of variation of EFuture Information is 724.13. The daily returns are distributed with a variance of 12.13 and standard deviation of 3.48. The mean deviation of eFuture Information Technology is currently at 2.59. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.62
α | Alpha over NYSE Composite | 0.20 | |
β | Beta against NYSE Composite | 1.90 | |
σ | Overall volatility | 3.48 | |
Ir | Information ratio | 0.08 |
EFuture Information Etf Return Volatility
EFuture Information historical daily return volatility represents how much of EFuture Information etf's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The exchange-traded fund inherits 3.4835% risk (volatility on return distribution) over the 90 days horizon. By contrast, NYSE Composite accepts 0.6372% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About EFuture Information Volatility
Volatility is a rate at which the price of EFuture Information or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of EFuture Information may increase or decrease. In other words, similar to EFuture's beta indicator, it measures the risk of EFuture Information and helps estimate the fluctuations that may happen in a short period of time. So if prices of EFuture Information fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.3 ways to utilize EFuture Information's volatility to invest better
Higher EFuture Information's etf volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of eFuture Information etf is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. eFuture Information etf volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of eFuture Information investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in EFuture Information's etf can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of EFuture Information's etf relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
EFuture Information Investment Opportunity
eFuture Information Technology has a volatility of 3.48 and is 5.44 times more volatile than NYSE Composite. 30 percent of all equities and portfolios are less risky than EFuture Information. You can use eFuture Information Technology to protect your portfolios against small market fluctuations. The etf experiences an unexpected downward movement. The market is reacting to new fundamentals. Check odds of EFuture Information to be traded at 24.37 in 90 days.Weak diversification
The correlation between eFuture Information Technology and NYA is 0.34 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding eFuture Information Technology and NYA in the same portfolio, assuming nothing else is changed.
EFuture Information Additional Risk Indicators
The analysis of EFuture Information's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in EFuture Information's investment and either accepting that risk or mitigating it. Along with some common measures of EFuture Information etf's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | 0.0745 | |||
| Market Risk Adjusted Performance | 0.1997 | |||
| Mean Deviation | 2.58 | |||
| Semi Deviation | 2.99 | |||
| Downside Deviation | 3.34 | |||
| Coefficient Of Variation | 941.06 | |||
| Standard Deviation | 3.49 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential etfs, we recommend comparing similar etfs with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
EFuture Information Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against EFuture Information as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. EFuture Information's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, EFuture Information's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to eFuture Information Technology.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in eFuture Information Technology. Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in employment. You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
The market value of eFuture Information is measured differently than its book value, which is the value of EFuture that is recorded on the company's balance sheet. Investors also form their own opinion of EFuture Information's value that differs from its market value or its book value, called intrinsic value, which is EFuture Information's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because EFuture Information's market value can be influenced by many factors that don't directly affect EFuture Information's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between EFuture Information's value and its price as these two are different measures arrived at by different means. Investors typically determine if EFuture Information is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, EFuture Information's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.